Bahrain Mirror: The International Monetary Fund predicted that the Bahraini economy will grow to $40 billion in 2019 with an estimated annual growth of 3% this year and 2% in gross domestic product next year.

The IMF forecast came in the latest statement about its expectations for the economies of the Middle East, in which it noted that economic growth will reach 3% this year, but the oil sector growth would be stronger than that, reaching 3.6% on a possible annual basis this year.

It highlighted that Bahrain needs to increase the barrel price to about $116 to reach the equilibrium point with respect to the general budget this year. The IMF, however, noted that the balance point will require less than that in 2019, as the oil barrel price would be $113.

The economic outlook forecast of the International Monetary Fund showed that the Kingdom will enjoy low inflation levels this year, reaching 2.9%, but will rise to 4.9% next year as Bahrain starts imposing the VAT which is expected to be implemented in the first quarter of 2019 by 5% as the GCC states, which some of them have started to apply this year.

Arabic Version